The rise in the value of the housing sector has slowed sharply as rate cuts have failed to kick-start the market.
Analysis from estate agency Savills showed that the total value of the housing stock hit a peak of £9.18 trillion last year. But the increase of £136billion was well down on the £268billion recorded the year before. Values had fallen in 2023.
Despite hopes that falling mortgage rates could boost the sector, Savills said that the £336billion growth in value over the last three years is the lowest since 2013.
Slowdown: Despite hopes that falling mortgage rates could boost the sector, Savills said that the £336billion growth in value over the last three years is the lowest since 2013
Lucian Cook, at Savills, said the market ‘has been slow to respond to recent cuts in Bank Rate’.
The Bank of England earlier this month held Bank Rate at 3.75 per cent after cutting it six times since August 2024.
Plunging levels of housebuilding also ‘kept a lid on the aggregate number,’ Cook said.
DIY INVESTING PLATFORMS
AJ Bell
AJ Bell
Easy investing and ready-made portfolios
Learn More
Learn More
Hargreaves Lansdown
Hargreaves Lansdown
Free fund dealing and investment ideas
Learn More
Learn More
interactive investor
interactive investor
Flat-fee investing from £4.99 per month
Learn More
Learn More
Freetrade
Freetrade
Investing Isa now free on basic plan
Learn More
Learn More
Trading 212
Trading 212
Free share dealing and no account fee
Learn More
Learn More
Affiliate links: If you take out a product This is Money may earn a commission. These deals are chosen by our editorial team, as we think they are worth highlighting. This does not affect our editorial independence.
Compare the best investing account for you
Read more on Daily Mail Online
